MUMBAI: IIFL Wealth Management, a unit of financial services firm India Infoline, said on Wednesday it has raised a Rs 750-crore real estate fund, which has the option to co-invest another Rs 500 crore under the fund. IIFL has mandated Ajay Piramal group's realty fund manager Indiareit Fund Advisors as the investment advisor.

The fund, the IIFL Income Opportunities Fund - Series Special Situations, was launched in August 2013 and it is the third fund under the alternative Investment fund (AIF) norms floated by the Securities and Exchange Board of India (Sebi).

The company said the fund would invest in residential properties. The fund is a close-ended one with four-year tenure and has an 18-month deployment period.

The fund is targeting gross returns of 22-24 per cent and an equity commitment of Rs 50-75 crore per transaction.

Some other fund houses, too, have either raised or are raising new funds.

Indiareit, which recently raised a Rs 1,000-crore domestic fund, is looking to mark the first close of its $75-million offshore fund by April this year. For the first time, it is tapping institutions for its offshore fund.

Wealth manager ASK group had recently announced the first close of $50 million for its $200-million offshore real estate fund. The fund, which is managed by its Singapore arm, will invest in real estate projects in Mumbai, Pune, Chennai and Delhi. ASK is looking at final close by March 2015.

Mumbai-based Milestone Capital is also gearing up to launch a Rs 500-crore rental yield fund, which will invest in commercial properties.

“Fund-raising environment would be better in 2014 as larger risks are behind us,” Sunil Rohokale, managing director and CEO of ASK Group, had told Business Standard recently, adding that the group was looking to invest Rs 500 crore in real estate projects this year. “Both the US and Europe are improving and the Middle East (West Asia) has always been doing well. So, investors in these parts of the world want to diversify,” Rohakale had said.

BANGALORE: A Division Bench of the Karnataka High Court on Wednesday upheld the single judge bench decision of refusing to interfere with the action initiated by the consortium of banks for taking possession of ‘Kingfisher House’, a prime property at Mumbai owned by Kingfisher Airlines Ltd (KAL).

MUMBAI: The Maharashtra government has extended till December-end a special drive to issue deemed conveyance (DC) to eligible housing societies in the state, following a poor response due to apathy from housing societies, the primary stakeholders and numerous government approvals.

MUMBAI: Short-term volatility notwithstanding, mutual funds are among the most-transparent investment vehicles. That was the consensus at the Business Standard Fund Cafe held in Mumbai on October 24. The chiefs of six leading fund houses said they were confident of MFs becoming the preferred choice for financial sector investors. The round table was moderated by Shyamal Majumdar. Edited excerpts:

MUMBAI: Hopes of a minor fall in interest rates, especially on home loans, were dashed last week after the RBI hiked its key rates in its policy review. Home loan borrowers, especially those crushed by a heavy EMI, have been looking at the RBI for some solace for a while now.

MUMBAI: The Supreme Court on February 3 asked the Campa Cola Residents Association and the civic body in Mumbai to find out within four weeks a solution to the row over certain illegal and unauthorized flats which face demolition in view of its earlier order.

MUMBAI: The Supreme Court's direction to the Maharashtra government to remove "private forest" tag attached to huge land parcels across the state is likely to give a push to development of real estate in such vacant areas, according to real estate developers' body Credai.

MUMBAI: Shares of Mumbai-based realty firms rose on Friday after the Supreme Court on Thursday allowed builders to develop several land parcels in the city's suburbs that were listed as forest land and were barred from encroachment. The apex court's ruling is expected to revive stalled projects, adding several thousand apartments to the city where home sales are down due to high prices.

MUMBAI: Girish Shah has been the general secretary of a housing society in Mumbai's western suburbs for the past eight years. Though he has been managing the society's affairs, there is a simmering discontent among the residents against him. "He has not conducted fresh elections in all this time," says a resident. He adds that the entire managing committee has been appointed by Shah and they have been inventing fees and penalties that cannot be legally imposed. However, the housing society membe